Why You Should Buy This Earnings Season’s “Comeback King”

Shah Gilani|August 3, 2023

Markets took a bit of a hit this week on the heels of the news that Fitch Ratings has downgraded the credit rating of the United States. But it’s going to take more than that to put a damper on this leg of the new bull market, especially with earnings season still in full swing.

Over 150 S&P 500 companies are reporting this week, so there’s a lot to sift through, but what’s really going to influence the direction of the market is what happens at the close, when Apple Inc (APPL) and Amazon.com Inc (AMZN) both report. If they surprise to the upside, I could easily see the market picking itself back up and moving higher.

If they disappoint, the first leg of the bull market will likely be over, and we’ll find ourselves heading for a dip. But if you’ve been following me for long enough, you know I consider that more of an opportunity than a problem. As in, now’s the time to look for opportunities among the top post-earnings movers that we might be able to get at a discount, so we can set ourselves up to prosper in the long term.

And I have to admit, there have been quite a few surprises for me this week. That includes one company I’ve been down on for a long time that has seen its stock price double this year and absolutely crushed on earnings and profit growth, turning things completely around from the $2.6 billion loss they reported last year.

You can get all the stocks I’m watching, and what to do with them, in this week’s Buy This, Not That video:

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While there are some good opportunities here to shore up your portfolio, the best profit plays are all in the next big wave of technological development: AI. One component crucial to the future of AI are “SuperChips” – the next generation of sophisticated computer chips that AI applications and devices will need to run.

Right now, two global superpowers – the U.S. and China – are locked in a conflict over the ability to both design and manufacture these chips, and it’s driving incredibly high demand in all the industries touched by it, from semiconductor manufacturing to rare earth mining.

This tech battle will remake the global economy and send a handful of stocks most investors have never heard of skyrocketing. And all you have to do in order to take advantage of it is to check out my full investing guide right here.